Corporate Tax Planning (eBook)

  • Credits: 21
  • Format: Self-Study eBook
  • Field of Study: Federal Tax Law
  • Author/Speaker: Danny Santucci
Available Formats:  
Advanced Preparation: None
Experience Level: Basic
Program Prerequisites: General Understanding of Federal Income Taxes
Course ID: EWTFM-T-01957-22-S | 6233-CE-0642 | DS-302.S-22
Published Date: Mar 2022

This course examines and explains the practical aspects of using the closely held corporation to maximize after-tax return on business operations. Recent developments giving corporations a competitive edge over other entities are explored and detailed. Practitioners are alerted to often missed fringe benefits, retirement planning opportunities, corporate business deductions, income splitting possibilities, and little-known estate planning techniques.

The program covers step-by-step tax procedures to form, operate, and ultimately dispose of a closely held corporation. Distinctions between S and C corporations will be unraveled and guidelines for client direction given.

Topics include:
  • CHAPTER: 1 - Business Forms & Characteristics
  • CHAPTER: 2 - Corporate Formation & Capitalization
  • CHAPTER: 3 - Corporate Principals & Employees
  • CHAPTER: 4 - Basic Fringe Benefits
  • CHAPTER: 5 - Business Entertainment
  • CHAPTER: 6 - Insurance
  • CHAPTER: 7 - Retirement Plans
  • CHAPTER: 8 - Nonqualified Deferred Compensation
  • CHAPTER: 9 - S Corporations
  • CHAPTER: 10 - Business Dispositions & Reorganizations

Learning Objectives:

After reading the course material, you will be able to:

  • Specify the advantages and disadvantages of sole proprietorships including self-employed taxes and payment requirements and identify the characterization of sole proprietorship assets upon disposition.
  • Identify the reporting requirements of estates, trusts, and unincorporated associations, determine what constitutes a “corporation” for a subchapter S or regular corporation, specify the characteristics of a personal service corporation, and recognize the repeal of the alternative minimum tax for regular corporations.
  • Identify the transfer of money, property, or both by prospective shareholders and the basic requirements associated with §351.
  • Specify the requirements for corporate charitable contributions, identify former §341 collapsible corporations, and determine how to avoid §541 status, particularly as to personal service contracts.
  • Determine payroll taxes and the uses of Form 941, Form W-4, Form W-2, and Form W-3, specify the application of FICA and FUTA taxes and how to report them, and identify major employee labor laws.
  • Identify a buy-sell agreement distinguishing an entity purchase from a cross-purchase agreement and recognize business recapitalizations and their potential uses.
  • Identify basic fringe benefit planning by determining “income” under §61 and specifying the differences between former nonstatutory and current statutory fringe benefits.
  • Determine “no-additional-cost services” and identify what property or services are excludable from income as qualified employee discounts under §132(c), specify exceptions to working condition fringes and de minimis fringes, recognize a §74 “employee achievement award,” and cite the §79 group term life insurance rules.
  • Identify employer-provided automobile valuation methods, determine what constitutes interest-free and below-market loans, specify the requirements and limitations of fringe benefits under §§217, 132, 67 212, 132(h)(5) and 280A, cite S corporation fringe benefits, and specify ERISA compliance requirements.
  • Define the key tax term “entertainment" and identify the pre-and post-2018 required §162 & §274 deductibility tests recognizing the importance of the remaining statutory exceptions for entertainment.
  • Identify substantiation, recordkeeping, reimbursement, and reporting requirements recognizing variations in methods and determining how to itemize non-reimbursed employee expenses, and specify the special reporting rules for self-employed persons and employers.
  • Recognize the importance and variety of business insurance Identify the impact of the disallowance of the interest deduction on purchasers and the insurance industry recognizing the §264 interest 7 limitations on policy loans, specify the benefit of corporate key person life insurance, citing the requirements of COBRA, and determine what constitutes a Voluntary Employee Benefit Association under §501(c)(9).
  • Identify nonqualified and qualified deferred compensation plans recognizing their benefits and contribution limits and recall the current and deferred advantages and disadvantages of corporate plans including fiduciary responsibilities and prohibited transactions.
  • Determine the differences between defined contribution and defined benefit retirement plans and specify five types of defined contribution plans stating their impact on retirement benefits.
  • Identify the requirements of IRAs, SEPs, and SIMPLEs, and define tax-free Roth IRA distributions specifying strategies to maximize plan benefits.
  • Recognize the postponement of income with a nonqualified plan.
  • Determine what constitutes an S corporation and specify the advantages and list disadvantages associated with them.
  • Identify variables that impact whether a business can choose S corporation status.
  • Cite ways an S corporation may be terminated specifying related procedures to be followed.
  • Recognize various business disposition and reorganization possibilities.

Who Should Attend:
  • All Certified Public Accountants (CPAs)
  • Enrolled Agents (EAs)
  • Other Tax Return Preparer (OTRP)

Qualifies and Approved with all State Boards of Accountancy and the following sponsorships: